Eurozone Inflation Hits Three-Year High
The Eurozone's inflation rate has reached its highest level in three years. Preliminary figures from Eurostat show that the year-on-year change in the harmonised consumer price index for the single-currency region rose to 3.8% in September, up from 3.2% in August. Energy prices were a significant contributor to this increase, rising 18.8% compared to last year and 3.9% on the month.
Services inflation also increased, reaching 3.2% from 3.0%, while food, alcohol, and tobacco inflation rose to 1.4% from 1.1%. In contrast, non-energy industrial goods inflation eased slightly to 1.1% from 1.2%. Core inflation, which excludes energy, food, alcohol, and tobacco, rose to 2.5% from 2.4%, with prices increasing 0.2% on the month.
Among eurozone members, Lithuania recorded the highest annual inflation rate at 6.1%, followed by Bulgaria at 5.6% and Cyprus and Luxembourg, both at 5.2%. The lowest rates were in Malta, at 2.4%, Finland, at 2.6%, and Latvia, at 2.9%. Germany's inflation rate rose to 3.3% from 2.9%, while France's increased to 3.4% from 2.6%. Spain's rate climbed to 5.0% from 4.6%, and Italy's jumped to 4.1% from 3.2%.